SOFI Cash Secured Put Assigned WAY BELOW Strike Price? Now What?

0:00Spring times the perfect time to turn the page and refresh your home style. The only problem? It can be expensive. Luckily, there's a better way to shop while we're the pieces for less. At Bob's discount furniture, Bob's negotiates with manufacturers to get you the best everyday low prices, giving the shopping power back to you. The power to get more style, comfort, and quality for less on amazing pieces. Like stylish mid-century dining sets made for hosting those big spring branches, pop up sleeper sectionals with all the bells and whistles so you can turn any room into a guest room and next level Bobo-Pedic mattresses so you can get a great night's rest after you've finished redecorating every room. So, when you're ready to spring into new style, stop into your nearest store or shop online and see how you can get while we're the style for less with Bob's discount furniture. Guys, it's no use putting it off. The best time for an underwear refreshes now. Tommy John underwear is designed for a perfect fit that stays put all day. There's zero shape thanks to four times more stretch than competing brands, and their innovative horizontal quick draw fly is a game changer. With over 30 million pairs sold,

1:03there are thousands of men out there more comfortable than you. Don't settle for less. Go to TommyJohn.com today for 25% off your first order with code comfort. That's TommyJohn.com code comfort. Tommy John. Comfort. Perfected. So, it's no question that a lot of us are getting assigned on our SoFi cast secured puts, and we're really not sure how to play it. In today's video, I'm going to be showing you exactly my plan moving over with SoFi, and if you drop a comment down below on today's video, you're also going to get my 25 favorite wheel strategy stocks, e-book, completely for free, and while you're down, I hit that like button, that subscribe button. And of course, I hope you guys are having an absolutely God-a-blessed day. But guys, the other day, I released a video talking about SoFi, and I got so many comments in the comments section telling me, hey, I was assigned at 18, I was assigned at 30, I was assigned at 2650, right? I was assigned at 2339, right? So, what's the plan, right? And a lot of you, maybe just got started with the whole entire wheel strategy for the first time here with SoFi.

2:05And that's totally cool, right? Because it's less collateral that's getting locked up, right? It's a great kind of like beginner stock. It's really volatile. You're collecting some juicy premiums, but with those juicy premiums, we have some high risk. However, we have options to, pun intended, to recover, right? We have options to recover and have to play this correctly, and this comes into management of the wheel strategy, right? This is a really important part of it. A lot of people, what did they do when they got assigned at like 23? And I guess this could be your first option if you really want to, right? They get assigned at like 23 or 26 or 30, and they immediately panic sold on the drop, let's say around, you know, 19 bucks or 18 bucks, right? And they lock in their laws. Sure, you can do that. Now, when would I do something like that? Me personally, I would only sell my casciggered put that got assigned below with a strike price, the value of the company is if I completely have lost belief in that company, okay? And this happens often, right? This can happen often. If you, if for some reason, the fundamentals have

3:09so shifted in this company that you just genuinely, I need to get out of this because I'm, it's going to zero or I genuinely just, whatever they're doing, I just don't believe in. Yes, you can lock in your laws and lose a little bit of money. And it's not that much of my, let's just be real with so far, especially it's kind of like a, you know, even though I don't consider like a beginner cycle, it's very volatile. You do really need to understand how to manage it and stuff. You do need to be careful, right? But there's nothing wrong with, you know, selling your shares, you're going to lose a couple hundred dollars. Not, it's not the end of the world. And then just learn, chop it up as a, as a learning mistake. We make stupid mistakes. I made one here on the channel many months ago where I locked up, I was, I was using brokerage, the fidelity brokerage app for the first time ever. And their app absolutely is terrible. Love fidelity, but their app is absolutely terrible. And I fat finger to casciggered, but I locked up three thousand dollars for like three bucks. Okay. And guess what? I chop it up as a learning lesson, right? And I move on with my life. That's okay. This is investing. This is, you know, trading, even I don't consider myself a trader.

4:12I'm not a full-time trader. The last thing I'd ever want to be in my life, but chop it up as a learning lesson, a little bit of an expensive one. But guess what? It's not the end of the world to lose a couple hundred bucks. So that's your first option. Is that a good option? In my opinion, on sofa, I know it's absolutely not, but do your own due diligence. I'm not a financial advisor. I think the fundamentals of so far are absolutely incredible. The CEO just yesterday bought another million dollars worth of shares, right? So we have a lot of positivity and not only just that, but we also have a great fundamentals of this stock, right? We have a great fundamentals of this company, great earnings, a great guidance, a great recipe for a great company in my personal opinion. Can we argue that the P, it's a little bit overvalued with the P racers? Sure. If we look at it like that, but at the end of the day, it's still a growth stock, okay? So let's talk about specifically other options that you can do if you actually still want to hold on to your shares, okay? So what am I specifically doing? So me, I'm personally assigned at like 2150. I'm assigned at 23 and I actually have some at 26 as well, okay? As you guys know, I was doing a covered

5:14strangle for a long period of time, meaning I was doing a covered call and a cast secured put on the same expiration. I was running that for a few months, just on a weekly basis returns or fantastic. I was basically threading the needle every single week, but we, as we all know, all great things have to come to an end eventually. Even though I do think so, if I will be back here, as we know, a lot of this geopolitical stuff that's happening right now that's out of our control adds a lot of volatility into the market, VIX being at 23. Obviously, all these things don't help, okay? All these things don't help across the port. But what I'm doing is primarily sitting on my hands. Now, however, so far, is seeing a nice little run, okay? Yesterday closed up a little over a percent in pre-market today. We'll see what the day brings, pre-market doesn't mean anything in my personal opinion. We see up a little bit over 3 percent. This is really, really good. So for some of the assignments that I have at 21, what am I looking at today? Well, I'm going to look simply at a covered call. How am I going to do that? Well, I simply go to the trade-so-fi option section and I'm clicking sell a call. If you don't know

6:15what a sell call is, basically, I'm saying I'm now willing to sell a hundred shares that I just bought at 21 for a higher price. Now, some of you what you'll end up doing is let's say you were assigned at 21, but you collected a hundred dollars of premium. You're going to say, oh, my cost basis is 20. You can do that. I personally don't factor my premium that I collected into my cost basis unless I really want to get it out of the stock than I will. Other times, I'm just not doing that personally. I don't want to. When I sell options, I like to consider myself an income investor and my sole purpose is to use the asset that I have to generate income and cash flow. That's my sole purpose. It's not to try to get in and out of it unless I'm really just again, the fundamentals are weak, something crazy happened and I'm just trying to get out of it. In that case, sure, I will factor that premium into the cost basis. But if I'm just trying to sell a cover call now, what am I watching at open today? What am I watching at open while watching to see if we hold a little bit of green? Usually, I like to wait for an hour for the market around

7:2110.30 before making jumping into a decision, but I see a nice pop in the morning and I can hit some nice collateral target right out of the gate. I'm going to do it. What am I looking at? Well, I'm going to be going further out right now. You have to. If I try to go next week out for like 21s, there's like $13 of premium. Look, I love so far. If I'm going to sell my shares to you, I'm going to get some premium from it as well. What would I specifically be looking at? I'm going to be looking 30 days out if I have to. I'll first look at the 29 days and then I'm going to be looking at the 22s and 23s. You can see on the 22s here, I would be collecting $34. $34. We'll just say $34 of premium on this specific contract. Of course, you already know I'm always going to go look at my covered call calculator so I can see all the math and how it looks. I got my $34 of premium and you can download all my calculators and trade log templates at the end of the arc options workshop. I give them to you for free. First link in the description

8:21of today's video. My strike of the option obviously is 23. Did we do 23s? Sorry, 22s. We did the 22s right here. My purchase strike price is 21. Could be lower if you want to for 1.62%. Not the best. Not the best for 30. What am I looking at? I'm looking at at least a 2% return on my collateral here. At least I would like to be at a 2.5% with a stock like so if I for my dividend kings and dividend aristocrats, I'll often do a trade like this to make a percent and a half a month because I'm also I'm doing I'm collecting dividends and premium. So like I don't really necessarily care too much if I have to if I'm getting a little bit lower of a premium return. Okay. But coming back over to so far right I'm going to most likely have to go out a little bit further unless we continue to pop this morning. So I'll go out a little bit further to 37 and this is where I'll be like okay I still like the 22s. I just want to maybe get those 100 shares or 200 shares working. I still my cost basis isn't so great on my other shares. I'm still going to kind of bag hold on them but I

9:26want to get something moving here. I want to get some of these shares working. So now I'm looking at the 22s a week out further and on this specific case we're collecting about 45 dollars of premium which is a lot better in my personal opinion. Right. So we're collecting just over 2% return closer to you know 37 days to expiration. This would be a trade that I'd most likely do just to get the shares working. Now obviously I've opened the premiums will likely adjust. We'll see how so if I react in the morning if it holds green today that'll be fantastic and then hopefully maybe I'll even be able to do the 23s if we continue this ride. Now the rest of the shares that I have a higher cost basis on I will hold those for a little bit longer okay I will hold those for a little bit longer. Now I do have some other puts in on 17 on so far so open I will also be looking to buy to close those out to free up those collateral. I did those last week when we saw this big actually it's been a kind of a bloody roughly since the 20th that we've really been kind of struggling here with so far so I did have some puts open at 17 at this point if 19 holds I should

10:29be able to close those out for a nice easy at minimum like 60% premium captured as you guys know a lot of my I like the the I call it the 50% rule so if I can capture 50% of my premium within a day or two I will close it out otherwise I have something I like to call the 80% rule where once I capture about 80 or close to 80% of my premium then I'll close it out so we'll see what so if I give us I'm not a rush to close those out but if I'm close enough to that 80 I'll do it to free up the collateral especially since how quickly so if I you know as we know so if I can move really really quick so if I could capture a decent amount return on my collateral because I got paid a great collateral for that and if even if I can collect 2% return on my collateral in like a week even though it's breaking my 50% rule and 80% rule I don't care because I collected 2% my money in the span of a week why wouldn't I do it the last option is this exactly that is still selling more cash secured puts now obviously this requires additional collateral on your port it does require a little bit more

11:29risk now I know some people that I have I have asked me to talk about different kinds of strategies on this channel I will talk more about like put credit spreads because I do think they're they are an you know decent option I do those a little bit more shorter dated I don't usually do those 30 days out and I try to be as risk averse on those so stay tuned most likely tomorrow's video I'll be talking about more of a beginner strategy where you don't have to wrap up so much money with a cash secured put but at the end of the the cash secured put is far more superior because you are left with an asset as opposed to if you do a put credit spread you are simply putting money on the line and being a silly little options buyer well while also being a little silly little options seller as well but I'm also going to continue to sell puts on this thing right I'm still listen if you're assigned at 26 at 30 at 23 like me like any stuff high conviction is stock right there's nothing wrong with still doing your weeklies right you're doing your weeklies at like a lower cost basis at like 17s at 16s that's kind of what I'm doing I want to still lower my cost basis or even if you're a little bit worried and you're still kind of premium chasing meaning you

12:32don't necessarily want to get assigned looking at like the 16s or 15s even going out 30 days out if that happens getting assigned at those levels in my personal opinions is absolutely fantastic so guys if you want my full trade lock template you want my two premium calculators all of it's free attending arch options workshop perfect for you if you're just a beginner getting into the whole wheel strategy I called the arch option strategy because we layer on some additional income streams on top of it click that first look in the description of today's video it's a 90 minute training at the end of it I give you all of these resources completely for free guys remember sell options collect premiums repeat I'll see you tomorrow springtime is almost here and if you've been itching to redo every room in your home bobs discount furniture can help when you shop at bobs you get well worth the everyday low prices on fabulous furniture for every room everything from stylish mid-century dining sets and top-rated bobbled paedic mattresses with the best warranties in the business to pop up sleepers sectionals all for a fraction of what they cost elsewhere so stop inner shop online and get wow really pieces for less only it bobs guys it's no use putting

13:34it off the best time for an underwear refreshes now Tommy John underwear is designed for a perfect fit that stays put all day there's zero shape thanks to four times more stretch than competing brand and their innovative horizontal quick draw fly is a game changer with over 30 million pair sold there are thousands of men out there more comfortable than you don't settle for less go to tommy john dot com today for twenty five percent of your first order with code comfort that's tommy john dot com code comfort tommy john comfort perfected